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Schemes to ease defunct companies' exit
12 July 2010: The Union Ministry of Corporate Affairs (MCA) expects corporates to benefit from the two schemes it has introduced — Company Law Settlement Scheme 2010 and Easy Exit Scheme 2010.
The ‘Easy Exit’ scheme is to help defunct companies to get their names struck off from the Registrar of Companies (RoC). Such a process will assist companies in not pursuing the high-cost, time-consuming voluntarily winding-up route. This procedure was introduced in 2000, which was later simplified in 2003 and 2005.
Now, the ministry has again introduced the scheme operative from 30 May 2010 to 31 August 2010 by scrapping off the fees payable by any defunct company desirous of getting its name struck off the register. Against the production of an affidavit, an indemnity bond and a statement of accounts duly certified by a chartered account, the name can be struck off.
Source: Economic Times